This invention relates generally to the field of card issuance units and reissue processing. More specifically, the invention relates to forecasting an amount of material, such as plastics and inserts, that will be required to fulfill card issuance units (e.g., credit cards, smart cards, phone cards and the like).
Reissue processing refers to renewal of card issuance units (CIUs) prior to expiration. CIUs are credit cards, smart cards or the like, alone, or in combination with card carriers, personal information number mailers, etc. CIUs are often provided by various institutions to their customers. For example, a bank may issue a credit card for use by its customer upon credit approval. These credit cards may be produced by third parties often unrelated to the institution. When a credit card is desired, the institution forwards the cardholder""s information to a third party for embossing. The third party then embosses the cardholder information on the credit card, all on behalf of the institution. Embossing refers to imprinting the cardholder""s name and account number, etc., on the credit card. After embossing, the credit card is forwarded to the cardholder for use.
As generally known, credit cards often expire after a certain duration. Prior to expiration, the cardholder""s record is generated by the third party. An eligibility review is conducted to determine if the cardholder is eligible for reissue. If the cardholder""s account is eligible, a new credit card is embossed to replace the old one. These reissued credit cards are often embossed on plastic stock or other such materials. Presently, little or no forecasting tools exist to determine the amount of material needed to fulfill reissue credit cards. This situation may result in either a shortfall or a surplus of materials needed to fulfill the reissue credit cards.
It is therefore advantageous to reduce costs, facilitate credit card reissue, and optimize storage space by forecasting the amount of materials needed for fulfilling reissue credit cards.
The invention provides systems and methods for forecasting amounts of materials needed to produce reissue CIUs. One type of material is a plastic stock on which the reissue credit cards are embossed. Another type of material is a card carrier for mailing the reissue credit card. Advantageously, by forecasting the amounts of materials needed for reissue, proper inventory levels may be maintained. Various embodiments of the present invention are disclosed.
In a first embodiment, a method of the present invention forecasts the amount of material used when reissuing credit cards. Initially, a time period during which inventory levels are monitored is determined. The selected time period may be, for example, a six-month period beginning two months from the current month and extending to the eighth month. As another example, it may be a twelve-month period beginning from the current month.
After a time period is selected, cardholder accounts that are potentially eligible for reissue are identified. Cardholder accounts are potentially eligible for reissue if their renewal dates fall within the selected time period. This step identifies the maximum number of potentially eligible cardholders for the selected time.
Next, account information for the potentially eligible cardholders is analyzed to determine which ones of the potentially eligible cardholder accounts qualify for reissue. Conveniently, current account information such as cardholder spending habits, compliance with credit limits, etc., may be used to determine eligibility. In this manner, the present invention provides a forecast of the number of qualified (i.e. eligible) cardholder accounts that may pass reissue review during the selected period. After the number of qualified cardholder accounts are determined, the amount of materials needed for the reissue process is projected. The amount of materials may be the sum of all of the materials required for each qualified cardholder account. Hence, the amount of materials projected is based on the number of qualified cardholder accounts rather than the number of potentially eligible cardholder accounts. In this manner, the present invention provides a more accurate assessment of the amount of materials required for reissuing credit cards.
In an alternate embodiment, the invention provides a method for monitoring inventory levels. The inventory levels relate to materials used during credit card reissue processes. Advantageously, by monitoring current inventory levels, the proper inventory level for fulfilling reissue orders can be maintained.
The method includes the step of identifying cardholders eligible for reissue for a certain time period. For example, if a period of twelve months is selected, cardholders having renewals dates within the twelve month period are eligible for reissue. The time period may vary as desired. Next, the method includes the step of qualifying one or more of the eligible cardholders for reissue. The qualifying step may be accomplished by assessing current cardholder characteristics, for example. Next, the step of determining the amount of material needed for reissuing credit cards is implemented. Advantageously, the amount of material is projected based on the number of qualified cardholders. Thereafter, the method includes the step of comparing the projected amount with the current amount of materials available. In this fashion, the present invention determines whether a shortfall or surplus exists, such that appropriate action is taken to rectify the inventory level.
A further embodiment of this invention may be found in a system for forecasting amounts of materials needed to produce reissued credit cards. Among other components, the system includes software instructions for selecting a time period, and for identifying cardholders eligible for reissue for the selected time period. Also, the system includes software instructions for analyzing account information for the eligible cardholders to determine which ones of the eligible cardholders qualify for reissue, and for determining a projected amount of material needed for producing the credit cards based on the number of qualified cardholders.
A further understanding of the nature and advantages of the present invention may be realized by reference to the remaining portions of the specification and the attached drawings. References to xe2x80x9cstepsxe2x80x9d of the present invention should not be construed as limited to xe2x80x9cstep plus functionxe2x80x9d means, and is not intended to refer to a specific order for implementing the invention. Further features and advantages of the present invention, as well as the structure and operation of various embodiments of the present invention, are described in detail below with respect to the accompanying drawings. In the drawings, the same reference numbers indicate identical or functionally similar elements.